09 JUL 2014 The World Bank 1818 H Street N.W. (202) 477-1234 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Washington, D.C. 20433 Cable Address: INTBAFRAD INTERNATIONAL DEVELOPMENT ASSOCIATION U.S.A. Cable Address: INDEVAS June 24, 2014 Mr. Abdussalom Kurbonov OFFOAL V 749 Minister Ministry of Finance Dushanbe REPUBLIC OF TAJIKISTAN Re: Republic of Tajikistan: Additional Financing for Municipal Infrastructure Development Project, Grant H7690 Amendment to the Financing Agreement Dear Mr. Kurbonov, We refer to the Financing Agreement between the Republic of Tajikistan (the Recipient) and the International Development Association (the Association) for the above referenced Project dated August 23, 2012 (Financing Agreement), and to the letter from the Recipient dated August 29, 2013 requesting an amendment to the Financing Agreement for the Project to include financing of all taxes. We are pleased to concur with your request and agree to amend the table in paragraph 2, Section IV of Schedule 2 to the Financing Agreement to read as follows: Percentage of Amount of the Grant Expenditures to be Allocated Financed "Category (expressed in SDR) (inclusive of taxes, but exclusive of VAT and customs taxes) (1) Goods and works for Parts 3,530,000 84% A.1 and A.2 of the Project (2) Goods and works for Part A.3 100,000 60% of the Project (3) Goods for Part A.4 of the 640,000 100% Project (4) Goods for Part A.5 of the 1,220,000 100% Project (5) Goods and works for Part B.1. 420,000 100% of the Project (6) Goods, works, consultants' 670,000 100% services, including audit, and Training under Parts B.2 - B. -2- Percentage of Amount of the Grant Expenditures to be Allocated Financed "Category (expressed in SDR) (inclusive of taxes, but exclusive of VAT and customs taxes) 8 of the Project (7) Goods, works, consultants' 1,120,000 100% services, including audit, Training, and Incremental Operating Costs under Part C of the Project TOTAL AMOUNT 7,700,000" All other provisions of the Financing Agreement shall remain unchanged and in full force and effect. Please confirm your agreement with the foregoing by countersigning, dating and returning to us a hard copy of this letter. The amendment shall become effective upon our receipt of the countersigned copy of this letter. Very truly yours, INTERNATIONAL DEVELOPMENT ASSOCIATION Saroj Kumar Jha Regional Director Central Asia CONFIRMED: REPUBLIC OF KI N By: 671 Name: f1LI.., ~ x N Title: _ _ _ _ _ _ _ _ Date: zo(.L(1